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What is the purpose of a financial statement analysis?

The goal in analyzing financial statements is to assess a company's past performance, current financial position; and to make predictions about the company's future performance. This directly relates to stocks, bonds, and other financial instruments.


What are some factors that should managers take into consideration when using financial ratio analysis to make decisions?

Jake derbyshire.


Is it acceptable practice to use unaudited reports for financial analysis?

You can analyze un-audited financial statements, buy you have to keep in mind that your ratio analysis, vertical analysis, and comparative analysis may be (probably are) inaccurate as to the companies 'real' financial position. You'd have to take any un-audited analysis results with a grain of salt. If you're buying a business, the seller should pay for the audit, or make sure there has been an audit of the statements in the past 2-3 years atleast so you can work with something real.


Disadvantages of financial audits?

Financial statements give an idea about the financial position of the company, however, there are some limitations of the financial statements. The first limitation is that a financial statement ignores the productivity and the skills of the employees in an organization. Management Decision Analysis Report gives an idea about it but financial statements are unable to evaluate the skills which a company has. Secondly, balance sheet does not give timely and relevant information because it is based on historical costs and it does not give a fair idea about the current position of the company. There are different accounting measurement systems therefore, use of different techniques by different companies can make the comparisons of financial statements difficult. Moreover, income statement is considered a fiction because cash is king and income statement ignores this fact.


What is ProfitCents www.profitcents.com?

ProfitCents (http://www.profitcents.com) is a web-based application created by Sageworks, Inc. (http://www.sageworksinc.com). Currently, the ProfitCents automated financial analysis software suite consists of four main components: 1. Plain Language Reporting Tools- For-profit, nonprofit, and personal financial analysis. 2. Analytical Review / Audit Tools- For-profit and nonprofit financial auditing. 3. Private Company Industry Information- real-time private company industry benchmarks. 4. Business Projections & Valuations- Performs financial forecasts and projections. In addition, automatic business valuations. Goals:Provide easy-to-use financial and analytical tools to help people make better decisions. Many ProfitCents users tend to be financial professionals who have a need and desire to perform analysis more quickly. Overview / Methods Nearly all of Sageworks' technologies are built on "FIND", a patented technology that converts financial numbers into narrative text. "FIND" is a truly expandable and adaptable technology. FIND Engine Technology - Patent Number 6,968,316"Systems, Methods, and Computer Program Products for Producing Narrative Financial Analysis Reports." For a more, in-depth online demonstration of the ProfitCents suite visit: http://www.profitcents.com/freevideo

Related Questions

How much does a financial analysis make a year?

A financial analysis makes up to $60,000 per year.


How do you make financial statement analysis?

stoling


What is the purpose of financial accounting analysis?

Financial accounting analysis is necessary so that a business can make sure that financial matters are being taken care of without a deficit being present. Financial accounting analysis will also help a business pay the proper amounts for taxes.


financial analysis?

What is Financial Analysis?Financial analysis is the process of examining financial statements and other relevant data to assess the financial health and performance of an organization. This analysis typically involves reviewing a company's income statement, balance sheet, and cash flow statement to assess its profitability, liquidity, solvency, and overall financial position. Using the right tools and techniques to analyze your data can help you make informed investment or business decisions and gain insights that allow you to predict and improve performance.


What are different analysis?

Different types of analysis include: statistical analysis, financial analysis, market analysis, risk analysis, and cost-benefit analysis. Each type of analysis focuses on specific data or information to provide insights and make informed decisions in various fields such as business, economics, and research.


Where can I get a stock portfolio analysis?

YOU CAN GO ONLINE AND RESEARCH THE VARIOUS STOCK BROKERS IN ORDER TO GET THE INFORMATION FIRST HAND. THERE ARE MANY INVESTMENT ANALYSTS AVAILABLE FOR CONSULTATIONS, TO HELP YOU MAKE LUCRATIVE FINANCIAL DECISIONS.


What is the purpose of a financial statement analysis?

The goal in analyzing financial statements is to assess a company's past performance, current financial position; and to make predictions about the company's future performance. This directly relates to stocks, bonds, and other financial instruments.


What is the significance of the number 209.53 in the context of financial analysis?

The number 209.53 is significant in financial analysis as it may represent a specific value, such as a stock price, interest rate, or other financial metric that is being analyzed for investment decisions or performance evaluation. It is important to consider this number in the broader context of the financial data and trends to make informed decisions.


Scope of study of financial statement analysis?

"SCOPE" it is the thing that only can be made by person who appeared. it is depend upon his performance and activity,and his interest. Financial Accounting is the very easy to learn, understand and can be make everyone scope in this.


What are some factors that should managers take into consideration when using financial ratio analysis to make decisions?

Jake derbyshire.


Is it acceptable practice to use unaudited reports for financial analysis?

You can analyze un-audited financial statements, buy you have to keep in mind that your ratio analysis, vertical analysis, and comparative analysis may be (probably are) inaccurate as to the companies 'real' financial position. You'd have to take any un-audited analysis results with a grain of salt. If you're buying a business, the seller should pay for the audit, or make sure there has been an audit of the statements in the past 2-3 years atleast so you can work with something real.


What do you think about gambling?

Gambling make you have problems with financial stuff in your life.